Thursday, August 3, 2017

In the early years of Single Premium Life (endowments),
producers sold the heck out of them. It took a while before the feds figured
out they were being used as tax-shelters. That epiphany led to the resurrection
of the decades old debate about taxing the inside build-up in a life insurance
contract, a war NAIFA has been fighting since 1913. And won every battle.

But this time a law was even closer to being enacted, a law that
would cause the taxation of inside build-up in all life insurance policies. And
the lawmakers were not going to “grandfather” older contracts. Producers feared
the end of their careers! NAIFA’s PAC swung into action once again and, with
the ACLI and other advocates, convinced the itchy-fingered representatives in
Washington, DC to avert the disaster.

The result was the Technical Corrections Act of 1988 (H.R 4333,
S. 2238) and the Modified Endowment Contract, or MEC. The MEC is a cash value
life insurance contract where the premiums paid have exceeded the amount used
to keep the full tax treatment of a cash value life insurance policy. Anyone
that sells permanent life insurance knows about the MEC. It’s important to
remember that NAIFA was a key player in negotiating the legislation that saved
the beloved life insurance contract from being taxed as was the original plan
of said lawmakers.

NAIFA, on both the State and Federal level, continues to fight
battles to preserve this noble business. If the life insurance industry is to
survive, we need Advocates. The PAC sustains our Advocates in Olympia and DC
which means NAIFA represents you and your clients. Which really means NAIFA and
IFAPAC work to assure that your career is allowed to continue. IFAPAC has been
called “Career Insurance” and it is! That’s why I continue to contribute to the
PAC after 42 years in the business. That’s why Alex Collins and I urge you to
contribute to IFAPAC monthly, by bank draft.

$8.50/month makes you a Century Club member. Do it! It won’t
hurt. In fact, it will help your career.

Wednesday, June 14, 2017

I
wanted to give everyone an update on the progress on One Washington. At this
point I am happy to report all but one association has reported back unanimous
board approval. I expect to hear in the coming few weeks the last local to
report, but this is great news for the future of our association! I really look
forward to helping lead the charge on this critical path towards long term
success of our association.

One
of the biggest questions I continue to get is what are the next steps. So, I
will do my best to answer them in this article so everyone knows what is to
come.

For
the associations that have already reported approval of the measure to the
state, you and your members will receive an email from Jenna asking your local
for a formal email vote to merge your local into the new One Washington Local.
Once you have voted (either in affirmation or declination) you will stop receiving emails asking for your vote. Once your local has reached 75% in favor
of the merger, your local will officially be merged into the new local. Nothing
will be done with your current membership until your local has reached 75%! If
you are strongly in favor or opposed, please help us get the vote out! We need
to hear from the membership to know how to best lead you all moving
forward.

We
do not expect this to happen overnight, and Micheal Staeb, myself or anyone on
the Steering Committee would be happy to address any concerns or questions you
have. We all know how hard change is and like many of you, I remember 15 years
ago how different it was in local meetings. This is our chance to ensure our
association is around not just 15 years from now, but hopefully another 130
years! I look forward to doing my part to carry this great legacy you all have
handed me.

Friday, June 9, 2017

I know nothing about art or artists. My wife is unhappy with me when the best compliment to escape my lips on one of her mandatory tours of a gallery are, "that's purdy." Imagine my surprise when I came across the following comment attributed to Pablo Picasso:

“Our goals
can only be reached through a vehicle of a plan, in which we must fervently
believe, and upon which we must vigorously act. There is no other route to
success.”

My wife tells me that to really understand art or an artist, I need to look for
the meaning of the picture (I’m not even sure if what Picasso produced were
pictures). Or, in this case, apply the words of the artist to your own life and
see if there is an application that means something to you. Thus, I sat
down on the banks of the Susquehanna River and contemplated the quote. We had
just visited Gettysburg a few days earlier and were touched by the bravery,
loyalty and sacrifice made by the men and women that fought a brutal and costly
war to change the course of this country. I recalled the trips to Washington,
DC with Richard Miller, John Scott, Jim Mitchell and others to tell the NAIFA
story to legislators (see Richard Miller’s article). Sometimes you feel
powerless against the political machines that often steamroll our profession.
But at the same time, NAIFA and IFAPAC continue to work the system on our
behalf. And all of us, all professional insurance men and women, benefit by
those efforts.Success is within reach when we have a plan, put our shoulder to
the wheel and push toward the goal. Thank you, again, to all who contribute
regularly to the Political Action Committee that works to ensure that we have a
business, that we have options to perform our financial magic with the people
in our community. We encourage you to act vigorously, contribute monthly
to conserve this great business and keep the doors of opportunity open to your
protégé. You have one, don’t you?

Wednesday, June 7, 2017

We held our State Convention in Lake Chelan, Washington
May 24th to the 26th and we had a wonderful agenda of
education, entertainment and business to move NAIFA forward. Thank you to all those who attended because
without you it would not have been the great convention that it was.

We were so privileged to have our National President Paul
Dougherty and our Secretary/Treasurer Jill Judd in attendance. Both of them taking the time away from their
family and business to support our State and Local associations is an amazing
show of leadership and support for our industry.

NAIFA is changing because the leadership at our State level
knew it was time to get off the status quo train that we are on. A steering committee was formed and they
stepped up to the plate and did what they said they were going to do. They discussed, analyzed and came to the
conclusion we needed to create the One Washington Initiative.

With the leadership of our President Elect and now State
President Stephen Good and Communications Chair/RVP/Graphics Stud Michael
Staeb, a detailed presentation was given to our local attendees on why this
change is best for local associations and overall general membership in Washington. We had great dialogue, questions, and
concerns. At the end of the 1 hour presentation and discussion, it was very
clear, what had been created and proposed will benefit our members if we
continue to follow through and do what we say we are going to do. I know we will have success with this change!

Taking on a leadership role such as President is not
always easy but it is a smoother process when you have a team surrounding you
that is engaged and wants our association to stay viable so it may continue to help
grow and protect our businesses.

Many, many thanks to all of you that held positions on
the State Board and supported the change we needed to make!

It was an absolute pleasure to serve our member
association and it is an absolute pleasure to pass the torch to our new
President Stephen Good. I feel the flame
is strong but it will become even stronger with Stephen as President. We need to “Resist the urge to become uninvolved” and step up to help
President Good in serving our membership.

Our clients, communities and industry are counting on
us…….are you in?

I recently returned from the
Congressional conference in Washington DC (the other Washington) and it was the
usual bittersweet trip. You see fellow
members, I am aggravated by politics, but I feel compelled to act. I can’t sit on the sidelines. I just wonder at times, as you do, whether it
matters.

Make no mistake though, our
efforts are effective. Visiting with our
Senators and Congressmen/women, especially those who fundamentally disagree
with us, makes a difference. I’ve
experienced a change in the attitude and demeanor of many staff aides and at
least some legislators. It’s much harder
to dislike and dismiss us once we’ve met multiple times over several years. I know it seems like we’ve lost some battles,
but we would be far worse off without the advocacy effort.

Our membership numbers are not
where we would like them and that certainly causes angst, but the team of
professionals representing us in the nation’s capital is more effective than
ever. We also have representation in every congressional district across the
country. Don’t fret over membership
numbers. Instead celebrate the largest PAC
in the insurance industry! IFAPAC is the
gas in the advocacy car. IFAPAC is alive
and well, and it’s protecting our livelihood.
It is the answer to any objection from a member or prospective member
who questions the viability of our association or wonders what’s in it for
them.

I definitely believe we are on
the right track with the PAC & initiatives like One Washington. One Washington will streamline and centralize
our functions, smooth out the member experience, and emphasize our most
important function; advocacy. I may
grouse about the other Washington, but I will resist the urge to give in as
long as it matters.

Saturday, April 8, 2017

Has this core
tenant of NAIFA been replaced?Has the
ease of signing onto a computer to try and short cut a CE course become the new
normal?Is meeting with others to gain a
better understanding of business and insurance concepts just an old school
idea?

When one
becomes a competent Agent, it isn’t because they passed their Life and Health
exam, no that’s just the beginning.Did
you ever participate in the LUTC series of classes?Maybe skipping into the CLU and American
College program of self-study?

American’s
want their Agents and Registered Representatives to be credentialed.This gives them the confidence that at least
you have put in the effort to become an expert, not just a conscious
incompetent.Do you go to a bookkeeper
to do your taxes, or do you use a CPA?Do you prefer a nurse over a highly credentialed Physician to supervise
your health?

It all depends
on how you see yourself I guess, but if you want to increase your competency
and your earnings, I would hope that you embrace the concept of being a lifelong
learner.I would argue that students
that go to class and participate in discussion about the lessons they are
studying, will gain far more from the experience.However, I am very disappointed that we have
very few classes active in our State.I’m happy to see some taking advantage of the on-line courses offered
for LUTCF, but they would most likely benefit so much more in a regular
classroom.Plus, they’d be able to get
to know other agents in their area that they can learn and grow their business
with.Perhaps build alliances with, or
referral networks with.Encourage your
local leadership to start classes and gain from this experience.

LILI is
currently the only course that participates actively in the State.A great program that everyone should be
encouraged to participate in.I only
hope that in the future, we can find enthusiasm for developing the knowledge of
insurance agents through the LUTC courses.If you want to see the industry from the non-carrier perspective, take
the classes, it will help to open your mind.If it’s worth doing, it’s worth doing it well.

Best of luck
to all of you in your futures as successful insurance agents, it’s a great and
empowering career.

There was no Trey Gowdy at this hearing

By the time you read this, HB2186 may be in the trashcan of the
House committee that wrote it. Or, it could be law. For those of you that pay
B&O tax, HB2186 was drafted to boost the B&O tax rate by 20%. Wait,
there’s more. HB2186 was to also create a brand new tax, a capital gains tax on
the sale of a business. And there were some other new taxes on real estate
sales and a few other things. Both the 20% increase in B&O and the capital
gains tax were our hot buttons.

As you know, any other business that pays B&O taxes can
transfer the tax to clients by adding it to their bid, to the product they sell
or the service they provide. But insurance producers are forbidden from
transferring the tax. To us, the B&O tax is an income tax: An income tax
applied at all levels of distribution, resulting in a pyramid of taxation.

On Friday, March 31st, Lobbyist Mel Sorensen put out
a call for a NAIFA producer to testify in Olympia on April 3rd. The
NAIFA WA P&D committee were committed to other work so I answered the call.
Who better to testify than a “sore arm pitcher” from Fungus Corners (aka,
Everett)? I, representing NAIFA WA, joined Keith Wallace of Bellingham,
President of WAHU, and Dale Kelly of Roy, past President of the Professional
Agents & Brokers Association at the Capitol for the 8AM hearing. Mel got us
signed in. He told us the list of people that planned to testify was a long
one! It turned out over 100 citizens and businesspeople crammed into Hearing
Room A at the JLOB building. More were in a basement room waiting for their
turn.

First up were citizens with children. Madam Chair called them up
so the kids could go outside and enjoy the sunshine (and 38 degree
temperature). So the mothers (no fathers that day) each took their turn singing
Kumbaya-Tax-The-Rich and had their juveniles read prepared statements about how
much they loved their teachers and want the wealthy to pay more taxes. Great.
Next up were those that had come the farthest to testify. That was our cue to
come forward. Dale was first, I went next and Keith wrapped it up. Now, you
have to picture this: Madam Chair and the other 7 House members had just heard
from 9 women championing HB2186 and were still glowing from their pleasure of
listening to praises for their work to wring more tax money out of the rich
white guys. And so three white guys step up to the microphones.

Dale spoke of the hardships the additional taxes and the capital
gains taxes will place on small agencies in every corner of the state. Most
small business owners, in their retirement planning, expect to sell their book.
The capital gains tax will cut into the retirement plans of thousands of
producers. He also made it clear that insurance commissions are taxed multiple
times. In my two minutes (that’s all the time you get at the microphone) I gave
an example of how unfair it is that insurance producers are the only
businesspeople that eat the tax because it is forbidden, by law, for us to
charge extra or otherwise transfer the B&O tax to our clients. Keith told
the committee that the 20% increase in income tax (he reminded them that the
B&O tax is an income tax to our service segment) will lead to fewer job
openings in agencies. And in fact, it may lead to layoffs. So in about 6
minutes we laid it out for the House Committee and the others behind us about
the unfair tax on the producer community. By the way, none of the legislators
had questions for us, so we didn’t face a Trey Gowdy.

After we left, dozens of other businesspeople echoed our
sentiments about HB2186, including other independent insurance producers. Of
the 100 or so people that testified, not many repeated the mantra of the first
9 women. However, later that day the committee approved the bill as read which
means it will go to the floor of the House. It may pass, but there is a chance
the bill will die in the Senate. Again, there are only a couple of weeks
left in the 2017 Session. If you get this newsletter before the floor vote,
call, email, fax or visit your legislators, both House and Senate, and ask them
to oppose the B&O tax hike and capital gains tax. Silence is perceived as
approval.

Monday, March 20, 2017

We all remember where we were when we heard
that someone had flown a plane into one of the World Trade Center
towers in New York City and that not long after, a second plane had struck
its target. A third would hit the Pentagon and a fourth would go down in an
attempt to reach another target in Washington, D.C. The ripple effect of those
events continues even to this day, but we don’t often stop to remember
those that stepped forward with common kindness in the midst of the terror.

This is one of those stories as told by a flight attendant on Delta Flight 15, a flight on its way to the U.S. and diverted to a small town in Canada:

On the morning of Tuesday, September 11, we were about 5 hours out of Frankfurt, flying over the North Atlantic.

All of a sudden the curtains parted and I was told to go to the cockpit, immediately, to see the captain.

As soon as I got there I noticed that the crew had that “All Business” look on their faces. The captain handed me a printed message. It was from Delta’s main office in Atlanta and simply read, “All airways over the Continental United States are closed to commercial air traffic. Land ASAP at the nearest airport. Advise your destination.”

No one said a word about what this could mean. We knew it was a serious situation and we needed to find terra firma quickly. The captain determined that the nearest airport was 400 miles behind us in Gander, Newfoundland.

He requested approval for a route change from the Canadian traffic controller and approval was granted immediately — no questions asked. We found out later, of course, why there was no hesitation in approving our request.

While the flight crew prepared the airplane for landing, another message arrived from Atlanta telling us about some terrorist activity in the New York area. A few minutes later word came in about the hijackings.

We decided to LIE to the passengers while we were still in the air. We told them the plane had a simple instrument problem and that we needed to land at the nearest airport in Gander, Newfoundland, to have it checked out.

We promised to give more information after landing in Gander. There was much grumbling among the passengers, but that’s nothing new! Forty minutes later, we landed in Gander. Local time at Gander was 12:30 PM …. that’s 11:00 AM EST.

There were already about 20 other airplanes on the ground from all over the world that had taken this detour on their way to the US.

After we parked on the ramp, the captain made the following announcement: “Ladies and gentlemen, you must be wondering if all these airplanes around us have the same instrument problem as we have. The reality is that we are here for another reason.”

Then he went on to explain the little bit we knew about the situation in the US. There were loud gasps and stares of disbelief. The captain informed passengers that Ground control in Gander told us to stay put.

The Canadian Government was in charge of our situation and no one was allowed to get off the aircraft. No one on the ground was allowed to come near any of the air crafts. Only airport police would come around periodically, look us over and go on to the next airplane.

In the next hour or so more planes landed and Gander ended up with 53 airplanes from all over the world, 27 of which were US commercial jets.

Meanwhile, bits of news started to come in over the aircraft radio and for the first time we learned that airplanes were flown into the World Trade Center in New York and into the Pentagon in DC.

People were trying to use their cell phones, but were unable to connect due to a different cell system in Canada . Some did get through, but were only able to get to the Canadian operator who would tell them that the lines to the U.S. were either blocked or jammed.

Sometime in the evening the news filtered to us that the World Trade Center buildings had collapsed and that a fourth hijacking had resulted in a crash. By now the passengers were emotionally and physically exhausted, not to mention frightened, but everyone stayed amazingly calm.

We had only to look out the window at the 52 other stranded aircraft to realize that we were not the only ones in this predicament.

We had been told earlier that they would be allowing people off the planes one plane at a time. At 6 PM, Gander airport told us that our turn to deplane would be 11 am the next morning.

Passengers were not happy, but they simply resigned themselves to this news without much noise and started to prepare themselves to spend the night on the airplane.

Gander had promised us medical attention, if needed, water, and lavatory servicing.

And they were true to their word.

Fortunately we had no medical situations to worry about. We did have a young lady who was 33 weeks into her pregnancy. We took REALLY good care of her. The night passed without incident despite the uncomfortable sleeping arrangements.

About 10:30 on the morning of the 12th a convoy of school buses showed up. We got off the plane and were taken to the terminal where we went through Immigration and Customs and then had to register with the Red Cross.

After that we (the crew) were separated from the passengers and were taken in vans to a small hotel.

We had no idea where our passengers were going. We learned from the Red Cross that the town of Gander has a population of 10,400 people and they had about 10,500 passengers to take care of from all the airplanes that were forced into Gander!

We were told to just relax at the hotel and we would be contacted when the US airports opened again, but not to expect that call for a while.

We found out the total scope of the terror back home only after getting to our hotel and turning on the TV, 24 hours after it all started.

Meanwhile, we had lots of time on our hands and found that the people of Gander were extremely friendly. They started calling us the “plane people.” We enjoyed their hospitality, explored the town of Gander and ended up having a pretty good time.

Two days later, we got that call and were taken back to the Gander airport. Back on the plane, we were reunited with the passengers and found out what they had been doing for the past two days.

What we found out was incredible…..

Gander and all the surrounding communities (within about a 75 Kilometer radius) had closed all high schools, meeting halls, lodges, and any other large gathering places. They converted all these facilities to mass lodging areas for all the stranded travelers.

Some had cots set up, some had mats with sleeping bags and pillows set up.

ALL the high school students were required to volunteer their time to take care of the “guests.”

Our 218 passengers ended up in a town called Lewisporte, about 45 kilometers from Gander where they were put up in a high school. If any women wanted to be in a women-only facility, that was arranged.

Families were kept together. All the elderly passengers were taken to private homes.

Remember that young pregnant lady? She was put up in a private home right across the street from a 24-hour Urgent Care facility. There was a dentist on call and both male and female nurses remained with the crowd for the duration.

Phone calls and e-mails to the U.S. and around the world were available to everyone once a day.

During the day, passengers were offered “Excursion” trips.

Some people went on boat cruises of the lakes and harbors. Some went for hikes in the local forests.

Local bakeries stayed open to make fresh bread for the guests.

Food was prepared by all the residents and brought to the schools. People were driven to restaurants of their choice and offered wonderful meals. Everyone was given tokens for local laundry mats to wash their clothes, since luggage was still on the aircraft.

In other words, every single need was met for those stranded travelers.

Passengers were crying while telling us these stories. Finally, when they were told that U.S. airports had reopened, they were delivered to the airport right on time and without a single passenger missing or late. The local Red Cross had all the information about the whereabouts of each and every passenger and knew which plane they needed to be on and when all the planes were leaving. They coordinated everything beautifully.

It was absolutely incredible.

When passengers came on board, it was like they had been on a cruise. Everyone knew each other by name. They were swapping stories of their stay, impressing each other with who had the better time.

Our flight back to Atlanta looked like a chartered party flight. The crew just stayed out of their way. It was mind-boggling.

Passengers had totally bonded and were calling each other by their first names, exchanging phone numbers, addresses, and email addresses.

And then a very unusual thing happened.

One of our passengers approached me and asked if he could make an announcement over the PA system. We never, ever allow that. But this time was different. I said “of course” and handed him the mike. He picked up the PA and reminded everyone about what they had just gone through in the last few days.

He reminded them of the hospitality they had received at the hands of total strangers.

He continued by saying that he would like to do something in return for the good folks of Lewisporte.

“He said he was going to set up a Trust Fund under the name of DELTA 15 (our flight number). The purpose of the trust fund is to provide college scholarships for the high school students of Lewisporte.

He asked for donations of any amount from his fellow travelers. When the paper with donations got back to us with the amounts, names, phone numbers and addresses, the total was for more than $14,000!

“The gentleman, an MD from Virginia , promised to match the donations and to start the administrative work on the scholarship. He also said that he would forward this proposal to Delta Corporate and ask them to donate as well.

As I write this account, the trust fund is at more than $1.5 million and has assisted 134 students in college education.

“I just wanted to share this story because we need good stories right now. It gives me a little bit of hope to know that some people in a faraway place were kind to some strangers who literally dropped in on them.

It reminds me how much good there is in the world.”

“In spite of all the rotten things we see going on in today’s world this story confirms that there are still a lot of good people in the world and when things get bad, they will come forward. Let’s not forget THIS fact.

Thursday, February 2, 2017

NAIFA/WAHU
Day On The Hill was held Thursday, January 26, 2017. Close to 100 producers
from Health Underwriters and NAIFA met at the Double Tree Hotel in Olympia for
a morning session. Mel Sorensen, our lobbyist extraordinaire, led the combined
meeting of both professional associations.

Earlier
in the morning, Mel and the two presidents, Neal Kloke of NAIFA and Keith
Wallace of WAHU, testified before legislative panels on key topics important to
our business.

We
heard from; Michael Marchand, Director of Marketing for the Washington Health
Benefit Exchange; John Mangan, Regional VP for the American Council of Life
Insurers; Grace Campbell, of AHIP; and comments from Neal Kloke and Keith
Wallace.

Michael
Marchand acknowledged the positive role of brokers in increasing the
participation and growth of the exchange. It is a dubious
acknowledgement, however. Whether we agree with necessity of an exchange,
we’ve certainly helped get more folks covered and at the same time I’ve spoken
to a number of agents who are now charging fees to help folks with their
decision making. I don’t even focus on health insurance and I’m getting
calls daily from people who were referred by the exchange. I’m
wondering why we need the exchange? (paragraph
submitted by Richard Miller)

Before
breaking for lunch and our own lobbying efforts on “the Hill” we discussed the
talking points for the day. Some were pertinent to health insurance, some to
life insurance:

Agents and brokers know the markets, know the
applicable laws and regulations, are trained and certified by the OIC,
know their clients and provide valuable service to the communities we
serve

Oppose any legislation that would impose adverse tax
impacts on licensed insurance producers or the insurance industry

The Business & Occupation Tax is equal to an
income tax on producers with no recourse to pass the tax on to our
clients. We oppose any increase in the B&O which Governor Inslee has
proposed.

Life insurers pay millions of dollars via Premium
Taxes to support the State General Fund and fund the costs associated
with the Office of Insurance.

Washington allows life insurers to take a credit
against Premium Tax obligations for their assessments paid to the
Guaranty Association-20% each year over a 5-year period. There are bills
to either increase the tax burden on life and health insurers OR eliminate
the credit allowance currently in place.

Oppose HB 1185 and SB 5242 – bills that would alter the
Washington Insurance Inducements Requirements and destroy the agreement
reached between the OIC and licensed producers in 2015.

A
controversial San Francisco-based employee benefits firm is apparently behind
the introduction of HB 1185 and SB 5242 – companion measures that would allow
insurers, insurance producers, or title insurance agents to offer goods that
are free or for less than fair market value incident to an insurance sale or
solicitation. The bills were introduced at the request of Zenefits after
Insurance Commissioner Mike Kreidler ordered the company last month to cease
offering free employee benefits software, finding that the activity is in
violation of Washington’s law against inducements. The company was fined by the
OIC in 2016 for allowing unlicensed individuals to sell insurance in
Washington. Last November regulators in California imposed significant fines
and penalties against the company for licensing violations in that state.

HB
1185 was considered at a hearing of the House Business & Financial Services
Committee for consideration, and a hearing has been scheduled to consider the
measure on Wednesday, January 25. SB 5242 was considered by Senate Financial
Institutions and Insurance Committee at a hearing on Thursday, January 26.
NAIFA, together with other producer associations and the Office of the
Insurance Commissioner, testified in opposition to the measures. NAIFA
President Neal Kloke, together with Keith Wallace, the President of the
Washington Association of Health Underwriters, along with representatives of
the Professional Insurance Agents of Washington/Alaska and the Independent
Insurance Agents and Brokers of Washington, testified that the measures would
unravel recently-enacted revisions to Washington’s Insurance Inducement
provisions that were the result of careful negotiations between the OIC and
producer groups only two years ago. They also expressed concern that the bill
would provide competitive advantages to large entities who are able to offer
large financial inducements to build client relationships that are completely
beyond the reach of main street agents and brokers. The OIC also testified
against the bills.

An out-of-state firm wants to eliminate the $100
maximum allowance for gifts to insurance prospects or clients.

This firm offers a software suite for no charge that
most small businesses would normally pay thousands of dollars to
purchase. While they say the software is free to any small business, the
firm strongly seeks to take over insurance plans by BOR and remove the
local producer, forcing the small business to deal with an 800 number on
all issues.

This firm does almost all business by phone and email
using unlicensed representatives.

Support HB 1338 and SB 5253 to continue the Washington
State Health Insurance Pool – WSHIP – which is designed to sunset at the
end of 2017.

With changes coming to the Affordable Care Act, the
Insurance Commissioner as well as all insurance associations (NAIFA,
WAHU, PIA, etc.) believe the WSHIP should not be allowed to sunset but be
available as a lifeboat for the 200-300 insured individuals that have
coverage through WSHIP. Most of the WSHIP insureds are in ESRD and unable
to obtain coverage elsewhere.

Producers
met with dozens of Representatives and Senators during the afternoon and
discussed these issues. For the most part, legislators, both Democrats and
Republicans, seemed to better understand the impact of these bills and most of
them agreed with our positions.

Thanks
to Mel Sorensen and all the members of NAIFA that sacrificed a day from their
normal business activities to be at Day On The Hill. Your participation is
appreciated. Now is the time to contact your own representatives and Senator.
Make sure they know you stand ready as a resource to their office on insurance
and investment topics.

After our last board meeting in October 2016 we created a
“NAIFA Steering Committee” to evaluate, strategize and discuss impactful change
that would attract new members, retain current members and keep members
involved in their local associations and communities.

After a handful of phone conferences, the Steering
committee came up with the idea of the “One Washington Initiative” to help
Unify, Simplify and Energize our membership.

The committee felt it would be more efficient to brand our
membership more consistently as one unified NAIFA Washington.

The committee felt it would be more efficient to simplify
the governance requirement by reducing or eliminating the individual local
association’s legal obligations, freeing up local resources to focus on more
important events or projects.Get more
by asking less of current membership.

The committee felt preservation of identity in local
associations was necessary for programs, participation and membership growth.

The NAIFA One Washington Initiative was outlined and
discussed with your local leadership that were in attendance at the State Board
Meeting on January 25th in Olympia WA.Please contact your local leadership to learn
more about the proposed Initiative.

If you have further questions please contact Jenna Olson
our State Executive and she will have one of the Steering Committee leaders
reach out to you.

Do
you have a gold box?
Over the phone, his mother told him, "Mr. Belser died last night. The
funeral is Wednesday." Memories flashed through his mind like an old
newsreel as he sat quietly remembering his childhood days.
"Jack, did you hear me?" "Oh, sorry, Mom. Yes, I heard you. It's
been so long since I thought of him. I'm sorry, but I honestly thought he died
years ago," Jack said...
"Well, he didn't forget you. Every time I saw him he'd ask how you were
doing. He'd reminisce about the many days you spent over 'his side of the
fence' as he put it," Mom told him.

"I loved that old house he lived in," Jack said.
"You know, Jack, after your father died, Mr. Belser stepped in to make
sure you had a man's influence in your life," she said.
"He's the one who taught me carpentry," he said. "I wouldn't be
in this business if it weren't for him. He spent a lot of time teaching me
things he thought were important. Mom, I'll bethere for the funeral," Jack said.
As busy as he was, he kept his word. Jack caught the next flight to his
hometown. Mr. Belser's funeral was small and uneventful. He had no children of
his own, and most of his relatives had passed away.
The night before he had to return home, Jack and his Mom stopped by to see the
old house next door one more time.
Standing in the doorway, Jack paused for a moment. It was like crossing over
into another dimension, a leap through space and time. The house was exactly as
he remembered. Every step held memories. Every picture, every piece of furniture.
Jack stopped suddenly...
"What's wrong, Jack?" his Mom asked.

"The box is gone," he said.. "What box?" Mom asked.
"There was a small gold box that he kept locked on top of his desk. I must
have asked him a thousand times what was inside. All he'd ever tell me was 'the
thing I value most,'" Jack said.
It was gone. Everything about the house was exactly how Jack remembered it,
except for the box. He figured someone from the Belser family had taken it.
"Now I'll never know what was so valuable to him," Jack said."I better get some sleep. I have an early
flight home, Mom."
It had been about two weeks since Mr. Belser died. Returning home from work one
day Jack discovered a note in his mailbox. "Signature required on a
package. No one at home. Please stop by the main post office within the next
three days," the note read. Early the next day Jack retrieved the package.
The small box was old and looked like it had been mailed a hundred years ago.
The handwriting was difficult to read, but the return address caught his
attention. "Mr. Harold Belser" it read. Jack took the box out to his
car and ripped open the package. There inside was the gold box and an envelope.
Jack's hands shook as he read the note inside.
"Upon my death, please forward this box and its contents to Jack Bennett.
It's the thing I valued most in my life." A small key was taped to the
letter. His heart racing, as tears filling his eyes, Jack carefully unlocked
the box. There inside he found a beautiful gold pocket watch.
Running his fingers slowly over the finely etched casing, he unlatched the
cover. Inside he found these words engraved:
"Jack, Thanks for your time! - Harold Belser."
"The thing he valued most was... my time"
Jack held the watch for a few minutes, then called his office and cleared his
appointments for the next two days. "Why?" Janet, his assistant
asked.
"I need some time to spend with my son," he said. "Oh, by the way, Janet, thanks for
your time!"

Think
about this. You may not realize it, but it's 100% true.
1. At least 15 people in this world love you in some way.
2. A smile from you can bring
happiness to anyone, even if they don't like you.
3. Every night, SOMEONE thinks
about you before they goto sleep.
4.. You mean the world to someone.
5. If not for you, someone may not be living.
6. You are special and unique.
7. When you think you have no chance of getting what you want, you probably
won't get it, but if you trust God to do what's best, and wait on His time,
sooner or later, you will get it or something better.
8. When you make the biggest mistake ever, something good can still come from
it.
9. When you think the world has turned its back on you,take a look: you most likely turned your back on
the world.
10. Someone that you don't even know exists loves you.
11. Always remember the compliments you received.Forget about the rude remarks.
12 . Always tell someone how you feel about them; you will feel much better
when they know and you'll both be happy .
13. If you have a great friend, take the time to let themknow that they are great.

What's
in your gold box? To whom will you send it?

I
know, what does this have to do with IFAPAC?

Maybe nothing. Maybe everything.
We appreciate your support and encourage you to challenge another NAIFA member
to match what you contribute to this great profession.

Thursday, December 15, 2016

Our
state is currently comprised of 11 local associations that act autonomously in
many areas NAIFA provides member benefits. In this increasingly busy,
electronic society it becomes a greater challenge for each local to be effective,
causing programming and membership to suffer. To address this, your State Board
has created a strategic committee to develop a plan to bring our state
together, increasing efficiency by easing the administrative burden of each
local, all towards building a stronger NAIFA Washington.

The
first step in this process is standardization of dues. Starting with all
members joining or renewing on or after December 31, 2016 we will have a
uniform dues structure statewide. No longer will there be a financial barrier
to joining one local association over another. The OneWashington Steering
Committee will be presenting additional recommendations for the state at the
January 25th State Board Meeting in Olympia, including soliciting
feedback from each local association. We anticipate a final plan to be
presented in advance of, and voted on at, the 2017 State Convention at Lake
Chelan, in May. If you have any feedback, please share it with your Local
President (contact info). Please direct questions to
State President-Elect, Stephen Good or RVP Michael Staeb (contact info).

Tuesday, December 13, 2016

It has been interesting 2016 especially with a very crazy
Presidential Campaign that has finally come to an end. There is so much speculation and uncertainty
of how things will fold out with the new leadership and control on Capitol
Hill. So much noise out there…..

Unfortunately we can only control so much in our ever
changing world. Fortunately, we are here
listen, learn, educate and motivate our clients to the necessary solutions
needed to protect and improve their financial wellbeing. Helping them navigate through the noise….

Remember to set your goals for 2017 and reflect on your
goals from 2016.

Remember to do what you said you were going to do.

Remember to let others know you are member of NAIFA and why
important it is to you.

I hope everyone has a safe, wonderful and blessed Holiday
Season with their family and friends!

Thank you for allowing me to service as your President so
far this year. It truly is an honor.

I remember as a young boy learning the word imitation and it's
various uses, both negative and positive. At that time, at least to me, the
word seemed mostly negative. I would hear, "That is just a cheap
imitation." I attached a negative meaning to that expression as well as
from seeing the quality of the items that were being referred to. Then one of
my brothers was teasing a younger one who complained to mother by saying,
"Mom, he is imitating me!" To me, both of those meanings were
negative and I don't believe I came to know the positive aspects of imitations
or imitating until many years later. I was told that during WW II natural
products were often substituted by some type of synthetic substance. For
example, tires for civilian vehicles were made out of a synthetic or imitation
rubber so that the better and more reliable tires made from real rubber would
be available for military vehicles used in the war effort.

Margarine became a very poor substitute or imitation for butter.
It came in a white one pound bar with a little package of reddish/orange
coloring. The package of coloring had to be mixed into the white margarine
until it was supposed to look yellowish like butter but it never did look or
taste like butter. The fat in the butter was used to make explosives; at least
that is what I had heard. Instead of nylon stockings women had to wear
stockings made out of some type of synthetic imitation or use the painted on
stocking effect. The synthetic nylons developed runs very easily and so it was
not unusual to see at least one run in a woman's stocking. I remember seeing
mother putting a little fingernail polish on the beginning of a run, which was
supposed to stop it from continuing to run. The real nylon material had to be used
in making parachutes, etc. There were many more examples of cheap imitations
but those imitations got our nation through the war without too much
deprivation.

Many of the imitations today, however, look as good if not
better than the genuine product. They say that the average person can't tell
the difference between a real Rolex watch, for example, and the imitation.
There are a lot of imitations, even in the world of art. There are artists who
specialize in creating almost perfect imitations of original and very valuable
pieces of art. There are even people who try to imitate other people. Some have
become enamored with someone famous and find themselves imitating their
behavior. For example, there are many who try to imitate Elvis Presley. Sadly,
there are people that try to imitate infamous figures from history that were
evil and destructive.

Francesco Guicciardini stated that, "He who imitates what
is evil always goes beyond the example that is set; on the contrary, he who
imitates what is good always falls short." The young of the human family
as well as the young in the animal kingdom learn and grow by imitating their
parents and others who are older. Being able to observe the process of
imitation is both wondrous and often humorous. I was watching a short video of
a small puppy learning how to come down a set of stairs. Obviously the puppy
was scared to take the first step. So his mother went up to the top and showed
or demonstrated for the puppy how to do it. The puppy would start to follow but
then hesitate so the mother went back up to the top and demonstrated again and
she actually had to show the puppy about six or seven times before the puppy
gained enough confidence to imitate its mother and took its first step down the
stairs.

From the alleged quotes of Confucius we find the following:
"By three methods we may learn wisdom: first, by reflection, which is
noblest; second, by imitation, which is easiest; and third, by experience,
which is the most bitter." If the easiest way to gain wisdom is by
imitating others then imitation should be recognized and professed as the
primary method of learning throughout the land. The Preacher in Leviticus said
that: 'There is nothing new under the Sun,' meaning that no matter what we say
or do, it has already been said or done somewhere, at some time in this world.
If that is true then we are all, unwittingly, imitators.

Imitation has also been said to be one of the sincerest forms of
flattery. That, however, would only be true if we were aware of the person we
were imitating beforehand. Imitation then, like many other things 'under the
Sun', has both a positive and a negative value or side to it. On the positive
side we can gain wisdom by imitation and we can often become better people by
emulating or imitating those whom we know are good. The best and the 'easiest'
way to become a successful insurance and financial advisor is to sit down next
to those who are already good advisors and to begin to imitate what they do. To
think that you can just start at home and become successfully involved in this
relatively complex profession is probably the wrong approach. Virtually
everything we have accomplished in life, whether in part or in whole, we owe to
the art of imitation. I have heard people tell about starting on their own,
over and over, and then giving up because they just didn't know how or what
they were doing. They were like the puppy at the top of the stairs without the
mother nearby to show them how. Imitating knowledgeable insurance and financial
advisors either within your agency or within NAIFA is the very best way to
become experienced and successful. You have learned via imitation all your
life, don't stop now, nor feel embarrassed about it. The work is a good work
and a work that may be more important than any other that you will ever be
involved in. It is the work of this noble profession. Do your work so that
others will want to imitate you.

Gold Sponsors

Silver Sponsors

Disclaimer/Policy

Washington Advisor publishes articles and advertisements to inform and educate members of NAIFA Washington's local associations. Unless specifically stated, publication of an article or an advertisement does not imply any endorsement by NAIFA Washington of either the views expressed or products advertised.